Memcoin Pepe is trading at $0,0000100095, down 33% from its high reached in June.
According to CoinGlass, token may be at risk due to a sharp increase in liquidations, a negative weighted funding rate, and a decline in open interest. Pepe’s funding rate has been trending lower over the past few days and is now negative. It has dropped to a low of -0,011%, the lowest since August 24.
The financing rate is a measure of the fee that traders in the futures market pay to keep the price close to the spot market price. A negative financing rate means that investors expect the future rate to be lower than it is now.
The daily chart shows that Pepe has been in a tight range for the past few days. It fell below the critical support at $0,0000098, invalidating the emerging double bottom pattern. The token also fell below the lower boundary of the symmetrical triangle. More importantly, it formed a death cross pattern where the 50-day and 200-day moving averages crossed each other.
In this way, token, is likely to continue falling as sellers target the key support level at $0,0000082, the lowest point since July 22.